The minimum wage A) is type of price ceiling. B) is a type of ...

[Bernana]

The minimum wage
 
  A) is type of price ceiling.
  B) is a type of price floor.
  C) can create a surplus of labor.
  D) Both answers A and C are correct.

Question 2

How has U.S. real GDP per person changed over the last 100 years?
 
  What will be an ideal response?

[bobsmith]

Answer to Question 1

D

Answer to Question 2

Although the U.S. economy usually displays growth in real GDP per person, there have been periods of time when real GDP per person has fallen. The decline is usually mild, although this was not the case during the Great Depression, which had a severe decrease in real GDP per person. Overall, the average yearly growth rate was higher after World War II than prior to the Great Depression. Prior to the Great Depression, the yearly U.S. growth rate of real GDP per person averaged only about 1.4 percent per year, while after World War II it averaged 2 percent per year. And, over the entire 100 years, the U.S. growth rate of real GDP per person has averaged about 2 percent per year.